International property advisor Savills may seek to buy back a 5% of its own shares when the Los Angeles-based real estate agency CB Richard Ellis puts its 19.2% stake in Savills on the market.
International property advisor Savills may seek to buy back a 5% of its own shares when the Los Angeles-based real estate agency CB Richard Ellis puts its 19.2% stake in Savills on the market.
The US property advisor is poised to sell the stake, which it purchased last year through its takeover of the rival Trammell Crow. Therefore, it is understood that Savills may be up to invest about EUR 40 mln, equivalent to a 5% of its own share capital, from CBRE, if the entire stake is not placed with a single buyer. The company declined to comment, newspaper The Financial Times reported.
Savills ended its strategic alliance with the Dallas-based real estate service provider Trammel Crow Company (TCC) last December, after the closing of the purchase of TCC by rival CB Richard Ellis. Already the largest commercial real estate services company, CBRE said the acquisition, valued at EUR 1.6 bn, marked a significant milestone in the company’s 100-year history and boosted its 2006 revenues to about EUR 3.39 bn.
The alliance between Trammel and the UK property broker Savills was formed in 2000 and focused in the European and Asian market. CB Richard Ellis announced its intention to sell off TCC’s stake in Savills for EUR 224 mln already in December 2006.
